Just two months from the launch of its new VF Commodore, Holden will cut 500 jobs from its plants in South Australia and Victoria.
The company will cull 400 positions from its Elizabeth plant in Adelaide, while a further 100 positions will be axed from its product development operations in Victoria.
The cuts, which come just months after a further 170 jobs were axed for similar reasons, are a reaction to slow sales of the Commodore, which have dropped to record lows.
Holden’s other locally-built car, the Cruze, is also struggling.
Holden’s Managing Directionm Mike Devereux, has blamed the strong Australian dollar and fierce competition from foreign brands for the nosedive in sales.
Holden employs around 2200 staff at its Elizabeth plant in Adelaide.